Google To Stop Radio Ads
This May will possibly be the end of Google selling radio ads. Google paid $102 million to acquire dMarc Broadcasting, a radio advertising company, in 2006. Google told the AP it plans to continue selling TV ads; but unless that branch of business picks up it may lead to more layoffs.
In addition to this, it could mean more layoffs. If Google does layoff employees, it will be the second time this year that such a thing happens. This news comes after Google’s announcement (not too long ago) that it will stop selling print ads.
Google possibly bought up too much of the market too soon. In the journalism world, we’re all going crazy because our mediums are evolving so quickly we don’t know what’s happening. You’ve probably seen evidence: the internet is abound with people saying, “Print is dying.” In truth, even the NYTimes is suffering and magazine companies will start feeling to just as rough too.
After print, there is radio. Radio cannot compete with people’s iPods in general–this is evident that many radio stations have been closed down and that Sirius XM has not turned a profit yet. In addition, people download music often from services like Limewire. The music companies have partially restructured to turn a profit from ringtones, but radio stations don’t seem to have a similar solution lined up.
Television is still doing quite well for itself, but overall the recession is hitting everyone very hard. I expect Google to sell off lots more departments or shut them down and focus on their core areas.
